Milei Reforms Opposed by Argentina's Worker Union, Strike Begun

 

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On Monday, Argentina’s oilseed and maritime worker unions commenced a strike in response to a labor reform bill endorsed by President Javier Milei. The bill was undergoing debate in the lower house of Congress.

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As one of the world’s leading exporters of processed soybeans, commodity exports play a key role in Argentina’s economy by generating foreign exchange to repay debts and finance imports during prolonged economic difficulties. The SOEA oilseed consortium operates in Rosario, home to most processing plants and ports handling the majority of soybean trade.

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The strike began as legislators commenced evaluating two extensive economic reform proposals from Milei involving privatization, tighter fiscal measures, and taxes on higher wages alongside labor changes. According to general secretary Daniel Succi, the unions will continue striking until Congress concludes discussions. Milei took office in December pledging reduced expenditures and hyperinflation control, but his reforms have faced staunch opposition from left-leaning rivals.

Following the labor bill protest, the maritime union has called for a Tuesday demonstration in Congress. Among the bills under analysis are parts of an earlier Milei package lowering income tax thresholds. While authorities agree with union opposition to the income tax adjustment, concerns have also been raised about strikes disrupting this important industry providing high salaries. The lower house session is projected to extend into Tuesday as negotiations continue over the contentious issues.